Arizona Real Estate License Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

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Who is responsible for escrow fees in a typical real estate transaction?

Seller

Buyer

In a typical real estate transaction, the responsibility for escrow fees is often assigned to the buyer. This is a common practice in many regions, including Arizona, where the buyer generally pays for various closing costs, which can include the escrow fees. This fee is for the service provided by the escrow company to handle the transaction, including holding the funds and documents until all conditions are met for the sale to close.

While it is possible for the seller to agree to pay these fees or for the costs to be negotiated between both parties, the buyer typically bears this expense. Understanding this allocation of costs is essential for buyers during the closing process, as it can affect their overall budgeting and financial planning for the purchase.

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Both parties

Neither party

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